Consider the following statements regarding recently launched MUDRA ba...
This Bank would be responsible for regulating and refinancing all Micro-finance Institutions(MFI) which are in the business of lending to micro/small business entities engaged inmanufacturing, trading and services activities.
In lending, MUDRA proposes to give priority to enterprises set up by the under-privilegedsections of the society particularly those from the scheduled caste / tribe (SC/ST) groups, firstgeneration entrepreneurs and existing small businesses.
MUDRA Bank will refinance Micro-Finance Institutions through a Pradhan Mantri MudraYojana.
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Consider the following statements regarding recently launched MUDRA ba...
MUDRA (Micro Units Development and Refinance Agency) Bank was launched by the Government of India in 2015 with the aim of providing financial assistance to micro and small enterprises in the country. Let's analyze the given statements one by one:
1. In lending, MUDRA bank focuses on enterprises set up by the under-privileged sections of the society.
This statement is correct. MUDRA Bank primarily focuses on providing financial assistance to micro and small enterprises that are owned and operated by individuals from the underprivileged sections of the society such as SC/ST/OBC, minorities, women entrepreneurs, etc. The idea is to provide credit to those who have been excluded from the formal banking system and help them grow their businesses.
2. MUDRA is set up as a refinance institution.
This statement is also correct. MUDRA Bank is set up as a refinance institution that provides funds to various financial institutions such as banks, NBFCs, MFIs, etc. These institutions, in turn, lend the money to the micro and small enterprises. MUDRA provides refinance at a concessional rate of interest to these institutions, thereby making credit available to the target group at an affordable cost.
3. Regulation of micro finance institutions (MFIs) is not the mandate of MUDRA bank.
This statement is incorrect. While MUDRA Bank does not directly regulate MFIs, it does have the mandate to oversee the activities of the institutions that it provides refinance to. MUDRA has set up a Grievance Redressal Mechanism to address complaints from borrowers against the financial institutions that have received refinance from MUDRA. Additionally, MUDRA also has the power to inspect the books and accounts of the institutions that it has provided refinance to.
Therefore, the correct answer is option A (1 and 2 only).
Consider the following statements regarding recently launched MUDRA ba...
I think mudra is only method of exchange mathod of things, mudra's value depending upon the available resources.
thanks
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